The Insolvency and Bankruptcy Board of India (IBBI) has released the IBBI (Bankruptcy Process for Personal Guarantors to Corporate Debtors) (Amendment) Regulations, 2026. Board notified valuation standards have replaced the “internationally accepted standards” for the valuation of assets.
The amendment has been made to regulation 30 of the IBBI (Bankruptcy Process for Personal Guarantors to Corporate Debtors) Regulations, 2019.
The valuation under board notified standards must be done after physical verification of the assets. The amendment also introduces a new sub-rule to regulation 30, saying that the registered valuer shall prepare the valuation report and maintain all documentation under the format notified by the board.
The IBBI shall notify a circular releasing the standards and format for asset valuations.
Regulation 30 of the amended regulations deal with the valuation of assets of a bankrupt entity. The bankruptcy trustee appoints a registered valuer when a resolution for an asset valuation has been approved or the bankruptcy trustee believes it is necessary.
The amended rules take effect on 25 February 2026, the notification date in the official gazette.
